Republicans and Democrats in the state Senate were close to reaching an agreement Tuesday after spending a long day negotiating behind closed doors on a deal to have the public help finance a new arena for the Milwaukee Bucks.

They will resume talks Wednesday morning.

"We had productive discussions today but have not arrived at an agreement," said Myranda Tanck, a spokeswoman for Senate Majority Leader Scott Fitzgerald (R-Juneau).

Central to the discussion is a change that would drop a requirement that Milwaukee County turn over its debt collection program to the state, which has more power to recover unpaid property taxes and traffic fines.

Sen. Chris Larson (D-Milwaukee) said he believed Democrats had gotten a concession that would clear the way for him to vote for the package. Supporters cautioned they hadn't nailed down all the votes.

Republican Gov. Scott Walker, GOP legislative leaders, Milwaukee County Executive Chris Abele and Milwaukee Mayor Tom Barrett put together a complex package that would have the public initially put $250 million toward a Bucks arena. That cost would rise to $400 million over 20 years when accounting for interest.

Republicans control the Legislature but have said they need three to four Democratic votes in the Senate and as many as 15 in the Assembly to pass the package. Key Democrats have said they want changes to the deal.

Timing is crucial. On Friday, Sen. Paul Farrow (R-Pewaukee) is giving up his Senate seat so he can focus full time on his job as Waukesha County executive.

He is expected to be replaced by Rep. Chris Kapenga (R-Delafield), who is running in next week's special election in the overwhelmingly Republican Senate district.

Farrow has been supportive of the arena package, while Kapenga has been skeptical of it. If a deal isn't reached this week, it will be harder for supporters of it to round up the needed votes.

One aspect of the deal Democrats such as Larson have opposed is the provision that would put the state in charge of Milwaukee County's debt collection. Larson said it was "heartless" to have people who are having trouble paying their debts pitch in for the arena.

Larson said the change he was working on would end the requirement that the state take over debt collection but would still require the county to put $4 million a year toward the arena.

As county executive, Abele already has the ability to hand the debt collection program over to the state, and he could still do that under Larson's change to the bill.

"That's on him," Larson said.

Others said they hadn't made final decisions on what would be in the package they hoped to finalize.

"Nothing is poured in concrete at this point," said Sen. Alberta Darling (R-River Hills), co-chairwoman of the Joint Finance Committee.

Democrats join talks

Tuesday marked the first time Democrats in the Legislature had been brought into the talks on the arena, and they were positive about the development.

"For the first time, I think we're at the table about what will make a win for everyone involved," Sen. Lena Taylor (D-Milwaukee) told reporters after she and some of her colleagues met with top Republicans.

"I need to see this happen," said Sen. Nikiya Harris Dodd (D-Milwaukee), adding she wanted to make sure the proposal provided good-paying jobs. "We've got to make sure we have a vibrant working class, middle class."

Bucks president Peter Feigin was waiting at the Capitol on Tuesday outside the meetings of the separate GOP and Democratic Senate caucuses. Feigin said he was "beyond optimistic" that a deal could be sealed Tuesday and brought up on Wednesday.

That didn't end up happening, though hope remained that one could be reached on Wednesday.

Feigin warned too many changes to the deal this late in the process could scuttle it.

Backers of the arena were hoping to scoop up the vote of Senate President Mary Lazich (R-New Berlin). She said she could support the arena package if the Senate would adopt an amendment that would remove an existing sales tax for certain foods and beverages sold by retailers in downtown Milwaukee.

Jason Stein of the Journal Sentinel staff contributed to this report.

About Patrick Marley

Patrick Marley covers state government and state politics. He is the author, with Journal Sentinel reporter Jason Stein, of "More Than They Bargained For: Scott Walker, Unions and the Fight for Wisconsin.”